Pricing/value of the PQ or 66.5 coin, if it happens

TahoeDale

A great deal of speculation on what the TPG's may do to the grading of coins, in the near future.

But not much discussion on what it might do to the reported pricing of these new designations.

There are many dates where the jump from one grade to the next represents a 10 fold or more increase. Will there be individual pricing of the 66.1 to 66.9 grades, or of the PQ ones? Will it really be necessary to do so?

There have been certain designations in the past that have caused a big difference in pricing- full head on SLQ's, and others that have not- cameo( only slight). Deep Cameo- some bit more.

Specific examples: In the MS lib nickel series, there are very few 67's. Will a 1910 in MS 66.8 bring 50% of the difference?

The jump between AU 58 and MS 60 in early dollars is large. Will a 58 pq bridge that gap all the way, or just a little.

For those that already pay premium dollars for the pq coin( in their opinion), will the institution of a new designation be of any value? Or will it lower the value of a MS 65 that is now graded 65.1?

kranky

If we're talking about what will happen at the top level of grades where you could find a 10x increase between grades, I think the PQ-labeled coins (designated PQ on the slab label) will be priced only a little more than a non-PQ. But the key will be how those coins are treated in registry sets.

MadMarty

Who need to put PQ on the label when we have beans!!!

pcgs69

I'd suspect dealers won't pay any premium.

A couple years ago I was trying to sell a VF25 coin. The dealer quoted me "VF" price, indicating any VF will get the same offer. So I'd assume he'd also sell a VF25 and a VF20 for the same price?

illini420

In the larger thread David Hall already said that PCGS will not use a 100 point grading scale in his lifetime. Would decimalization of the 70-point scale be the same thing, or even worse??? I've seen/heard of the same coin going in and coming back a 65 one day, a 66 the next and a 64 the following day... etc. I'm sure you all know of similar situations. To think that any grader could be consistently accurate down to .5 or .1 of a grade seems unrealistic.

I think that for coins where there's a big jump between grades, dealers already try to bridge the gap and charge middle ground prices when they think they have a PQ coin for sale. Of course when buying from a collector, it seems that in most cases that doesn't happen.

shorecoll

I agree with Illini...dealers already bridge, using most price guides as a floor (or maybe PCGS as a ceiling) then incrementing up for PQ and eye-appeal.

roadrunner

I don't think it's anything that can be quantified. In bull markets the limits of pricing and grading will always be pushed. In bear markets the opposite will occur as premiums contract towards their original levels potentially wiping out all premiums. Those 10X premiums for a fraction of a mint state point will come and go with the type of market we're in. Since so many factors must be considered for pricing it's really not something that can be nailed down (ie how many coins in that grade, how many in one grade lower or higher, the total number of MS coins available, how consistent or conservative is the grading for that particular coin design, etc.)

And just because a grade of 66.5 is assigned will never imply that it is necessarily even within 1/2 point of the definitive grade. And certainly one would expect variations of 1-3 tenths of a point on resubmissions. My definition of a "definitive" grade would be assembling 10 or more of the best graders of that particular coin, giving them unlimited time to grade it, and then averaging their inputs. Those same graders would evaluate every similar coin as well as resubmissions of that original coin. It's a standard that could never be achieved in the business end of the hobby.

When the market stagnates or drops it usually means changes are coming to help reignite things. If that means changes to the grading system it would not be a surprise.

roadrunner